Bills for Collection/Documentary collection refers to a process, in which a seller instructs his bank to forward documents related to the export of goods to the GCB (buyer's bank)
with a request to present these documents to the buyer for payment, indicating when and on what conditions these documents can be released to the buyer.
Features
- The collection is a straight forward and less expensive mode of settlement
- Payment is usually quicker compared to open account
- Documents come with payment instruction
- Title documents are controlled by the bank
- Payment is not guaranteed by the bank
Benefits
- Quick and secure means to transfer funds from abroad
- Customers have access to foreign currency at very competitive rates
- Efficient handling of documents by the Bank
- Simple and convenient